21. A private educational institution duly recognized by CHED has the following data for the fiscal year ending March 30, 2020:

Tuition and other feesP5,000,000

Rent income from canteen and bookstore47,500

concessionaire, net of withholding tax

Dividend from domestic corporation500,000

Interest on bank deposit, net of tax16,000

Operating expenses1,500,000

During the year, the school constructed a 2 storey school building costing P2,000,000. It is the school's policy to deduct this cost in full during the taxable year.

The income tax due and payable is.

a)496,000

b)P205,000

c)500,000

d)P152,500

22. A proprietary hospital had the following data for 2020:

Gross receipts from patients and laboratoryP8,500,000

Services

Rental income net of 5% withholding tax1,425,000

Hospital operating expenses8,200,000

The income tax payable of the hospital for 2020 is:

a)P180,000

b)P465,000

c)P105,000

d)P540,000

23. Masigasig University is a private educational institution had the following data for the year:

Tuition feesP4,800,000

Rental income (net)4,940,000

Total school expenses9,450,000

The income tax payable should be:

a)P165,000

b)(P60,000)

c)P200,000

d)(P95,000)

24. The MCIT shall NOT apply to which of the following resident foreign corporations?

I.International carrier

II.Offshore banking units (OBUs) on their income from foreign currency transactions with local commercial banks

III.Regional operating headquarters

IV.Firms that are taxed under special income tax regime such as PEZA registered firms

a)only

b)none of the above

c)I and II only

d)I, II, III and IV

36. The president upon the recommendation of the secretary of finance may allow corporation the option to be taxed on gross income, provided

I.The tax rate is 15%.

II.Available to firms whose ratio of cost of sales to gross sales or receipt from all source does not exceed 55%.

III.Shall be irrevocable for 3 consecutive years during which the Corporation is qualified under the scheme.

a)Only I and II must be complied

b)Only I must be complied

c)None of the above

d)I, II and III must be complied